Cotton Futures Edge Lower

2026-06-23 10:39 By Larissa Caser 1 min. read

Cotton futures traded near 78 cents per pound after briefly falling toward 77 cents, with recent price action largely driven by short covering.

A stronger US dollar pressured the market after Federal Reserve officials reinforced a hawkish policy outlook, reducing the competitiveness of US cotton exports.

Lower crude oil prices also weighed on sentiment, as cheaper synthetic fibers became more competitive relative to cotton.

Meanwhile, crop conditions remained broadly favorable, although investors continue to monitor weather developments across key US growing regions ahead of July, with excessive rainfall affecting some areas and drought concerns persisting in others.

At the same time, certified cotton stocks remain ample, pointing to a limited risk of a delivery squeeze and helping to keep supply concerns contained.



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